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Business, 01.04.2021 15:10 dlatricewilcoxp0tsdw

Determine whether the following government policies affect the aggregate demand curve or the short-run aggregate supply curve, and in which direction the appropriate curve would shift. To reduce the budget deficit, the government announces that households will pay much higher taxes beginning next year. The aggregate supply curve would shift to the right. The aggregate demand curve would shift to the right. The aggregate supply curve would shift to the left. The aggregate demand curve would shift to the left.

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